Telegraph bidder schmoozes Tories at Park Lane lunch
THE leader of the Abu Dhabi-backed bid for The Telegraph has attended a Conservative networking lunch alongside the Prime Minister and the Culture Secretary, as they prepare to decide whether the takeover can go ahead.
Jeff Zucker, the head of Redbird IMI and former CNN chief, was among guests at the Conservative Friends of Israel’s annual business lunch at the Intercontinental Park Lane in London.
Rishi Sunak gave the keynote speech at the event, which was also attended by Lucy Frazer, the Culture Secretary. Last night a spokesman for the Department for Culture said Ms Frazer attended the lunch in a personal capacity and did not interact with Mr Zucker.
Her role is sensitive as she has quasi-judicial powers over the attempted takeover. Ofcom’s report, scheduled to be delivered by Friday, serves only as advice to the Culture Secretary.
New York-based Mr Zucker, 58, has become a more frequent visitor to the UK in recent weeks as he seeks to navigate an Ofcom review of whether his plans represent a threat to press freedom. Some £450m of the £600m purchase price for The Telegraph has been provided by the Emirati royal Sheikh Mansour bin Zayed al-nahyan, the owner of Manchester City.
Sources said Mr Zucker attended yesterday’s Conservative Friends of Israel lunch as a guest of Nadhim Zahawi, the former Cabinet minister who played a key role as a middleman in the deal.
The Barclay family borrowed £1.2bn, mostly from Abu Dhabi, to repay £1.2bn in overdue loans from Lloyds Banking Group in December.
The Barclay family regained technical ownership of The Telegraph but are barred by law from exercising any control over it while Redbird IMI’S plan to convert its loan to ownership is scrutinised.
Ms Frazer could decide to accept undertakings from Redbird IMI to protect press freedom and rubber-stamp the deal, or order a further investigation by the Competition and Markets Authority lasting into the summer.
Mr Zucker has pledged that The Telegraph will remain independent, while Redbird IMI has put forward proposals for an “editorial trust” of high-profile media figures that it says will protect journalistic freedoms. A spokesman for Mr Zucker declined to comment. Mr Zahawi was contacted for comment.